Foreign Exchange Contracts

Spot FX Contracts

A "Spot" contract is an agreement to effect a purchase or sale of a foreign currency now. Please note, most Spot FX contracts have a two day settlement to allow for time zone differences and international banking clearing procedures.

UMB offers Foreign Exchange contracts in all major currencies and most minor currencies (called "exotic currencies" in the trade.) Exotics are often subject to currency restrictions and other regulations in the currency's home country, so please discuss your transaction with a UMB FX trader.

Forward FX Contracts

A "Forward" contract is an agreement to effect a purchase or sale of a foreign currency at some time in the future. These contracts can protect you against currency fluctuations when you know you are due to either receive or pay a foreign currency amount in the future. By locking in your rate of exchange now, you know exactly what your contract is worth in the future.

UMB offers Foreign Exchange contracts in all major currencies and most minor currencies (called "exotic currencies" in the trade.) Exotics are often subject to currency restrictions and other regulations in the currency's home country, so please discuss your transaction with a UMB FX trader.